The IRS has the authority to take your funds or property if you do not pay your taxes. This is commonly referred to as a “seizure.” Our Tax Code and the IRS’s Internal Revenue Manual provide specific rules and procedures the IRS has to follow to seize your property. Here are the four primary rules…
Category: IRS Collections
About IRS collections, including levies, liens, and garnishments.
When the IRS’s Collection Efforts Create an Economic Hardship
The IRS has broad collection powers that it can bring to bear to collect unpaid taxes. Even though it has these powers, it often chooses not to use them. This is especially true in cases where the collection actions would result in an economic hardship for the taxpayer. What is an Economic Hardship? The term…
Get Rid of Unpaid Taxes Without Losing All of Your Assets
It is nice to have a retirement account with a significant balance. It is also nice to have a significant amount of equity in a home. It can be difficult to get tax relief from the IRS for unpaid taxes if you have one or more of these assets. Reasonable Collection Potential The IRS factors…
The FTC Warns Taxpayers About Tax Relief Companies
The Federal Trade Commission (FTC) is the nation’s consumer protection agency. It works to prevent fraudulent, deceptive and unfair business practices in the marketplace. It weighed in on the tax relief companies in an article posted on its website. Taxpayers should consider the FTC’s warnings before hiring a tax relief company. Unethical Tax Relief Practices…
What You need to Know about the IRS Federal Tax Lien When Selling Property | Part 3
This is the third part of a three-part series of articles that explain what you need to know about the federal tax lien if you have unpaid tax debts. If you missed the prior two installments, you can find them here and here. As explained previously, the IRS’s federal tax lien can have a devastating…
What Property is Subject to the IRS’s Federal Tax Lien | Part Two
This is the second part of a three-part series of articles that explains what you need to know about the federal tax lien if you have unpaid tax debts. If you missed the first installment of this series, you can read it here. The IRS’s federal tax lien can have a devastating impact on your…
What You Need to Know About IRS Federal Tax Lien | Part One
If you have unpaid taxes, you may be surprised to learn that the IRS has a lien against your property. The IRS federal tax lien is the tool that allows the IRS to collect unpaid taxes. The IRS’s federal tax lien can have a devastating impact on your personal finances. This is the first installment…
The Cost to Hire a Tax Attorney
A friend of mine had a new house built a few years ago. We always seem to be in the midst of some kind of remodeling project, so I had asked him about his selection of appliances, cabinets, carpet, fixtures and windows. I was a bit surprised by his response. He said he was not…
5 Reasons Why You Should Resolve Your IRS Debt Today
1. Penalties continue to accrue Unpaid tax debts are subject to late payment penalties. The penalty is typically half of one percent of the amount of the unpaid tax. This may not sound significant given the low rate, but it adds up. The penalty is computed each month or part of a month after the…